n NISM Certifications
NSM General NISM
Medium

In OTC, one-month USDINR quotes at 73.75/74.00, and futures at 74.50/74.60. What arbitrage trade and profit per USD is possible?

Practice question from NISM Series I - Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Buy OTC and sell futures, 60 paise

  2. Buy OTC and sell futures, 50 paise

    Correct answer

  3. C

    Buy OTC and sell futures, 75 paise

  4. D

    Sell OTC and buy futures, 85 paise

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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